David Teten

AUGUST 7, 2019

LTV / CAC, revenue growth, etc.) Today, some Momentum-centric venture capital investors have high paper returns. Simple reason: most of them have known only a rising market in their careers, and in such a market the companies that are already hot can usually raise more capital and force growth.

Venture Capital 60

Venture Capital Valuation Stock NDA 60

Steve Blank

MARCH 17, 2020

Next, take a look at your actual revenue each month – not forecast, but real revenue coming in each month. Subtract your monthly gross burn rate from your monthly revenue to get your net burn rate. All your assumptions about customers, sales cycle and most importantly, revenue, burn rate and runway are no longer true.

Burn Rate 436

Burn Rate Startup Valuation Sales Cycle 436

Steve Blank

JULY 15, 2010

If you take funding from a venture capital firm or angel investor and want to build a large, enduring company (rather than sell it to the highest bidder), this isn’t the decade to do it. The collapse of the IPO market and dysfunctional math in the venture capital community has stacked the odds against you. Here’s why.

Venture Capital 297

Venture Capital IPO Liquidity Event Entrepreneur 297

SoCal CTO

MARCH 5, 2007

However, Elgg could power 100,000 networks and it would make no difference - there is no revenue stream as we give everything away under a GPL license. Common revenue streams are consulting, training, support, customization, upgraded versions for corporate applications, etc. I understand his frustration.

Open Source 150

Open Source Business Model Technical Cofounder Southern California 150

Both Sides of the Table

JUNE 22, 2011

I know that most people who are close to them tend to deny their existence, as we saw in the great housing bubble of 2002-2007 and the dot com bubble of 1997-2000. Ah, but today’s Internet companies have real revenue! It’s what I love about entrepreneurship and about venture capital. and profits!

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

Steve Blank

MARCH 31, 2014

I’m honored to be at a university noted for knowledge, and in a city with 2000 years of history – home of Gaudí one of the 20 th century’s greatest innovators. As the venture capital business has come roaring back in the last 5 years, startups are awash in available capital. Thank you for the kind introduction.

Private Equity 325

Private Equity Metrics China Intellectual Property 325

www.inc.com

SEPTEMBER 24, 2011

Dave Graham Business Venture Capital Private Equity GlobalLogic Inc. Venture Capital Firms. Jumpstart was one of Grahams first clients; it signed on shortly after he founded Arizona Bay, in 2000. And his vendors ended up with nothing when his company, OpenAuto.com , went out of business, in 2000.

Arizona 40

Arizona Equity Iowa Venture Capital 40

Steve Blank

MARCH 18, 2011

Dot.com Bubble ( 1995-2000): “ Anything goes” as public markets clamor for ideas, vague promises of future growth, and IPOs happen absent regard for history or profitability. VC’s worked with entrepreneurs to build profitable and scalable businesses, with increasing revenue and consistent profitability – quarter after quarter.

Internet 334

Internet IPO Silicon Valley Agile 334

Version One Ventures

JULY 22, 2014

We have all heard about the Series A crunch in the Valley (there might actually be up to 2000 companies in the Series A pipeline right now), and perhaps there’s a Series B crunch now too. You need to assess early on if your business is venture-fundable. If not, revenue from your customers will be your best source of financing.

Finance 167

Finance Seed Money Bootstrapping Angel Investor 167

Both Sides of the Table

JUNE 5, 2011

million post-money valuation with no revenue. It was early 2000. We had companies pitching us that had almost no revenue at all and they were raising $10-15 million in capital at a $40-50 million pre-money valuation. I raised my A round at a $31.5 That was market.

Pre-Money Valuation 336

Pre-Money Valuation Valuation Silicon Valley Stock 336

K9 Ventures

SEPTEMBER 8, 2015

Direct Revenue, meaning no three-way business models and no advertising, media, or content. What led you to the venture capital world? We grew it to just under 20 people and were acquired at the height of the bubble in 2000. New Technology or New Market, meaning no “me too” ideas. Frighteningly Early.

San Francisco 48

San Francisco Early Stage Portfolio Software Engineering 48

Austin Startup

DECEMBER 17, 2017

Hurricane Irma had a major negative revenue impact on one whose fall book of business was mostly in Florida. We just closed out in 2017 our 10-year early-stage venture fund started in 2000. Yes, that has multiple meanings!) Do the math. As events unfolded in the tech world shortly thereafter, the rules all changed.

Silicon Valley 48

Silicon Valley Atlanta Software Review Early Stage 48

Both Sides of the Table

JUNE 18, 2010

What a pleasure that I got to spend an hour talking with both Om Malik (whom I’ve always respected his views) and Paul Jozefak , a venture capital partner at Neuhaus Partners in Germany (and formerly the head of Europe for SAP Ventures). Founded in 2000 in New Brunswick, NJ. 406 Ventures.

Venture Capital 225

Venture Capital Non-Compete Vertical Europe 225

Steve Blank

JUNE 17, 2011

Ben offers that as Apple, Google and Amazon survived the dot.com crash, we can ignore the fate of the thousands of failed public and private dot.com companies when the bubble burst in March of 2000. Filed under: Venture Capital. Really smart money recognizes it’s a bubble and bets against it.)

Investment Bankers 310

Investment Bankers Stock Valuation Venture Capital 310

Both Sides of the Table

MARCH 11, 2010

This is part of my ongoing series on Raising Venture Capital. Recently I’ve been debating with a number of young startup companies that are raising money in the next few months, “what is the right about of capital to raise at a startup?&#. Your revenue will take longer to ramp then you think. add a buffer.

Venture Capital 319

Venture Capital Startup Silicon Valley Warrant 319

Both Sides of the Table

NOVEMBER 4, 2010

The framework of his book has profoundly altered how I think about the technology market and affects how I thought about building my businesses and how I think about investing in venture capital. In 1999-2000 they weren’t doing enterprise-wide installations at Merrill Lynch, Dell and Cisco. Enter Salesforce.com.

Vesting 376

Vesting Framework Revenue Technology 376

www.usatoday.com

JULY 16, 2012

But the ventures launched in recent years with gobs of venture-capital funding and targeting niche markets have accelerated the movement with user-friendly designs and a tight knit to social networks Facebook, LinkedIn and Twitter. The dot-com boom of early 2000 saw a proliferation of similar anything-at-your-service start-ups.

San Francisco 105

San Francisco Technical Review Zimbabwe New York City 105

Cracking the Code

MARCH 24, 2015

For example, if you look at SaaS comps, the average FWD revenue multiple is around 5.4x This is very similar of where these comps were in 2006 when I started in venture. However, in my view, the qualities of the companies and the globalization of the market makes the situation different from 2000. for a growth rate of 25%.

Valuation 48

Valuation Venture Capital Mobile Global 48

Berkonomics

JANUARY 17, 2019

If you discover and become convinced that your vision is flawed, or the product impossible to create within cost and time expectations, or the demand impossible to quantify, or revenues never close to plan, then it would certainly be time to rethink the plan and product. Could you pivot to save the company? A personal story of failing fast.

Incubator 48

Incubator Angel Investor Venture Capital Reputation 48

Berkonomics

JANUARY 17, 2019

If you discover and become convinced that your vision is flawed, or the product impossible to create within cost and time expectations, or the demand impossible to quantify, or revenues never close to plan, then it would certainly be time to rethink the plan and product. Could you pivot to save the company? A personal story of failing fast.

Incubator 48

Incubator Angel Investor Venture Capital Reputation 48

socialmatchbox.com

OCTOBER 23, 2010

The generally accepted hourly wage calculation used by the staffing industry is Annual Salary divided by 2000 Hours. If you sum up these costs and divide them by 2000 Hours then you are looking at $1.15 Adjust the annual average to what it should be on an hourly basis. So for someone making $70k that comes out to around $35/hr.

Part-Time VPE 41

Part-Time VPE Sweat Equity DC Washington 41

Cracking the Code

NOVEMBER 13, 2008

The fact that SaaS valuations are being more affected by the downturn than the Nasdaq can be surprising given the supposed resiliency of the SaaS model (recurring revenues) but it translates the public investors belief that SMB software spend is going to be hit very hard by this recession. Venture Capital. (3). Post a Comment.

Software Review 48

Software Review Technical Review Valuation Portfolio 48

This is going to be BIG.

MARCH 30, 2015

Because most internet business concepts were not capable of productively employing tens of millions of dollars of venture capital does not mean they were bad ideas." Because companies today have way more revenues than the companies that went public or had huge up rounds back then.

Hockey Stick 60

Hockey Stick Valuation Startup Maryland 60

techcrunch.com

OCTOBER 13, 2012

He is on the board of the Angel Resource Institute, and is a partner with Montlake Capital (a late stage growth capital fund) and with Revenue Capital Management (a royalty based lender). This is absolutely competitive with venture capital returns. He’s c0-authored two books and many academic articles.

Angel Investor 103

Angel Investor Venture Capital Seed Stage Silicon Valley 103

VC Cafe

JULY 27, 2017

According to the Interactive Advertising Bureau, podcast industry ad revenue will reach $220 million in 2017, up 85 percent from 2016’s $119 million ( source ). The show starts with the history of Podcasts and ends with where they may be headed. Interestingly, Podcasts are starting to become a big business too. The third wave of podcasting.

Audio 109

Audio Silicon Valley Curation Cofounder 109

The Equity Kicker

AUGUST 24, 2012

This comes on top of a lot of other negative news, including leading investors selling shares in the companies above at minimal profits, and CalPERS, traditionally one of the largest investors in venture capital, announcing that they have made a terrible 0.0 per cent return on venture over the last ten years.

IPO 101

IPO Valuation Silicon Valley Venture Capital 101

This is going to be BIG.

NOVEMBER 7, 2011

Is 2012 going to be 2000 all over again? The difference between many of these companies and what we saw back in 1999 is that there are real revenues and revenue growth at many of these companies--and their costs are largely in people, which can always be trimmed down. Facebook is doing billions in revenues. Valuations.

Angel Investor 104

Angel Investor Valuation Startup Revenue 104

David Cohen

JANUARY 26, 2017

Some were running brand new companies, some had already been acquired, and others had scaled up to $100M+ in revenue. It will probably not be a big surprise to you to know that there is already vibrant startup activity there, as well as some strong venture capital funds. Photo: @iccunisa. We also spent some time in Sydney.

Australia 48

Australia Denver Silicon Valley Hosting 48

Berkonomics

JANUARY 12, 2012

If they are not achieved within the expected time, the reasons must be analyzed and acted upon to avoid loss of capital beyond plan or expectation. My favorite story of a fast failure was of a technology incubator started in the year 2000 with optimistic money from a number of angel investments, including mine.

Incubator 59

Incubator Angel Investor Venture Capital Demand 59

Reid Hoffman

MARCH 19, 2019

Google realized that being the way to find the world’s information was a blitzscalable market, thanks to the network effects in its AdWords revenue engine. Yet despite literally patenting ride-hailing in 2000, his own venture, Sidecar, lost out to the more aggressive scaling of Uber and Lyft. To blitzscale, or not to blitzscale?

Cofounder 28

Cofounder Business Model IPO Non-Compete 28

abovethecrowd.com

JULY 10, 2014

So today, less than two years after the video, he is highlighting that Uber’s San Francisco revenues are a “healthy multiple” bigger than the historic market for both limousines and taxis. The consultant’s prediction, 900,000 subscribers, was less than 1% of the actual figure, 109 Million. Plus there are other competitors in the market.

San Francisco 111

San Francisco San Jose Marketing Technical Review 111

Ben's Blog

MARCH 24, 2011

Let’s look at public market comparables and venture capital flows to see if we can find a match. In the great bubble of 1998-2000, the boom in public valuations mirrored the boom in private valuations. Venture capital flows. If too much venture capital hits the streets, valuations will bubble up.

Technical Review 78

Technical Review Venture Capital Valuation Database 78

The Equity Kicker

AUGUST 25, 2015

I saw that in 2000 and then again in 2008. When the macro economic climate is tough less money flows into venture funds and startups, so fewer deals get done, valuations are lower and more companies fail. Making things worse still, consumers and enterprises have less money to spend and startups find it harder to grow revenues.

Valuation 60

Valuation Startup Stock Portfolio 60

online.wsj.com

SEPTEMBER 23, 2012

SIGNIFICANCE PROMINENT. --> The Venture Capital Secret: 3 Out of 4 Start-Ups Fail. An entrepreneur with a hot technology and venture-capital funding becomes a billionaire in his 20s. The National Venture Capital Association estimates that 25% to 30% of venture-backed businesses fail. NAME David Cowan.

Venture Capital 107

Venture Capital Software Review Rhode Island North Dakota 107

Both Sides of the Table

FEBRUARY 25, 2010

We moved into the legal process and final due diligence in January and February of 2000. Our final closure was the first week of March 2000. It quickly became impossible to raise venture capital. It isn’t even a story about raising venture capital or M&A. They accepted my argument. Any deal.

Technical Review 301

Technical Review Term Sheet Due Diligence Venture Capital 301

Spencer Fry

APRIL 17, 2017

Having started and sold 3 successful bootstrapped businesses, and am now running 1 venture capital backed business ( Coach ), this is a topic I know a thing or two about. Long story short, it’s just not 2000's anymore. The quality bar has never been higher.

Bootstrapping 63

Bootstrapping Cap Table Liquidation Preference Cofounder 63

Duct Tape Marketing

JULY 14, 2022

She has spent twelve years in startups and built three successful companies without venture capital backing. Or you have two of those and now there's 2000 people and everyone's sending a chat. She has spent twelve years in startups and built three successful companies without venture capital backing. Yeah, yeah.

Technical Review 84

Technical Review Demand Cofounder Video 84